Oil Jumps as API Sees Surprise Plunge in U.S. Crude Stockpiles

American supplies reportedly declined by 8 million barrels
WTI futures surge more than 1%, shaking off earlier loss

An employee turns a control valve on pipework beside a storage tank at an oil delivery point operated by Bashneft PAO in Sergeevka village, near Ufa, Russia, on Monday, Sept. 26, 2016. Bashneft distributes petroleum products and petrochemicals around the world and in Russia via filling stations.Photographer: Andrey Rudakov/Bloomberg

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By Alex Nussbaum and Grant Smith

June 24, 2019 at 10:35 PM UTC

Updated on

June 25, 2019 at 9:20 PM UTC

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Oil pushed higher as an industry report suggested U.S. crude stockpiles continue to shrink, a bullish signal for a market that’s been beset by economic jitters and an uncertain standoff in the Middle East.

Futures jumped almost 1% in New York within minutes of an American Petroleum Institute report said to show U.S. inventories dropping by 7.55 million barrels, more than twice the median drop predicted by analysts in a Bloomberg survey. If confirmed by government data on Wednesday, it would be the second straight stockpile drop and the biggest in three months.